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Fin24 reports that public service wage talks between government and unions are "stuck" as the state is struggling to move beyond its offer to public servants of a 2% wage increase without drastic cost-containment measures.
Public Servants Association (PSA) spokesperson Reuben Maleka reported that there had been no movement in meetings with the employer on Friday and that the government remained "stuck" at 2%. Maleka said the union could not agree to the cost-cutting and cost-moderation measures proposed at the meeting. He was referring to a government memo which stated: "Any pensionable salary adjustment above the 2% shall be subject to the employer introducing the cost containment measures in the public service. Such measures would allow for the sourcing of the additional 1% required to cover any baseline increase above the 2% over the 2022/23 medium-term expenditure framework." The memo said measures might include, but were not limited to, filling only posts identified as critical, early retirement without penalties, exit mechanism for employees at ages of 60 and 64, and voluntary severance package subject to an assessment of critical skills.
- Read the full original of the report in the above regard by Khulekani Magubane at Fin24
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